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IRDAI Surveyor LOP study materials
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IRDAI Surveyor LOP practice questions

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Question 1Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the IRDAI (Insurance Surveyors and Loss Assessors) Regulations, 2015, a person applying for a fresh surveyor licence must hold which minimum educational qualification?

  1. A diploma in insurance or engineering of at least three years
  2. A bachelor's degree in any discipline from a recognised university Correct answer.
  3. A pass in the Higher Secondary (10+2) examination
  4. A master's degree in commerce or economics

Explanation

The 2015 Regulations require a fresh applicant to possess a bachelor's degree or equivalent qualification from a recognised institution, along with the prescribed technical training. The 10+2 level is below the threshold, and a master's degree is not mandated as the baseline.

Question 2Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed under the 2015 Regulations is engaged to assess a marine cargo loss. Which statement best describes the surveyor's role in the claim process?

  1. The surveyor decides whether the insurer must pay the claim
  2. The surveyor negotiates the final settlement directly with the insured on the insurer's behalf
  3. The surveyor issues the policy document for the consignment
  4. The surveyor independently assesses the loss and recommends the claim amount to the insurer Correct answer.

Explanation

A surveyor's function is to assess the loss, quantify it, and submit a report with recommendations; the decision to admit or repudiate the claim rests with the insurer. Issuing the policy is an underwriting function unrelated to loss assessment.

Question 3Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, a surveyor's licence is issued in which of the following categories?

  1. Category A for life insurance and Category B for non-life
  2. Licensed surveyor and trainee surveyor
  3. A single category covering all classes of insurance
  4. Individual surveyor and surveyor company/firm Correct answer.

Explanation

The Regulations recognise licensing of individual surveyors as well as surveyor companies or firms that meet the prescribed requirements. There is no split between life and non-life categories, and no separate trainee licence.

Question 4Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A licensed surveyor wishes to act for more than one insurer in the same claim. Under the 2015 Regulations, which principle governs such engagement?

  1. The surveyor may act for multiple insurers provided each consents in writing
  2. The surveyor may act for multiple insurers only if the claim value is below the prescribed threshold
  3. The surveyor may act for multiple insurers if the insured agrees
  4. The surveyor must avoid a conflict of interest and cannot act for parties with conflicting interests in the same claim Correct answer.

Explanation

The Regulations impose a duty to avoid conflicts of interest; a surveyor cannot serve parties whose interests conflict in the same matter. Consent or claim value does not cure a fundamental conflict.

Question 5Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, what is the prescribed continuing professional development requirement for a licensed surveyor?

  1. The surveyor must complete the training and examination requirements prescribed by IRDAI from time to time Correct answer.
  2. The surveyor must submit an annual audit report to the insured
  3. The surveyor must obtain a fresh degree every five years
  4. No CPD is required once the licence is granted

Explanation

The Regulations require surveyors to keep their knowledge current through training and examination requirements prescribed by IRDAI. A licence is not a one-time qualification, and no fresh degree or insured-facing audit is mandated.

Question 6Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed to assess fire losses accepts an engagement to survey a large engineering erection loss. Under the 2015 Regulations, what is the correct course of action?

  1. Proceed and report the engagement to IRDAI afterwards
  2. Decline or seek prior approval, since the licence is restricted to specified categories of insurance business Correct answer.
  3. Proceed if the insurer confirms the appointment in writing
  4. Proceed because all non-life losses fall within a single licence

Explanation

Surveyor licences are granted for specified categories of insurance business, so assessing a loss outside the licensed category is impermissible. Written appointment by the insurer does not extend the scope of the licence.

Question 7Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which body is empowered to grant, renew, suspend, or cancel a surveyor's licence under the 2015 Regulations?

  1. The Insurance Institute of India
  2. The General Insurance Corporation of India
  3. The Insurance Regulatory and Development Authority of India Correct answer.
  4. The Life Insurance Council

Explanation

IRDAI is the statutory regulator that grants and administers surveyor licences. The Insurance Institute of India conducts examinations, and the councils and GIC have no licensing authority over surveyors.

Question 8Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor company seeks a licence under the 2015 Regulations. Which requirement applies to the entity?

  1. It must be owned entirely by IRDAI-licensed insurers
  2. It must have the requisite qualified surveyors and comply with the prescribed conditions on composition and conduct Correct answer.
  3. It must operate only in the state where it is registered
  4. It must be a listed public company

Explanation

A surveyor company or firm must satisfy prescribed conditions, including deploying qualified licensed surveyors and adhering to conduct requirements. Listing, insurer ownership, and state-level operation restrictions are not licensing conditions.

Question 9Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A licensed surveyor receives a claim assignment and completes the survey, but the insurer delays payment of the surveyor's professional fee. Under the 2015 Regulations, which statement is accurate?

  1. The surveyor may withhold the survey report until the fee is paid
  2. The surveyor may refer the matter to the insured for payment
  3. The surveyor must submit the report within the prescribed time, and fee disputes are dealt with separately Correct answer.
  4. The surveyor may charge interest at the rate fixed by IRDAI on delayed fees

Explanation

The Regulations require timely submission of the survey report; withholding it would prejudice the claim. Fee disputes are a separate commercial matter and cannot justify delaying the report.

Question 10Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best describes the 'Code of Conduct' obligations of a surveyor under the 2015 Regulations?

  1. Maximise the claim amount to protect the insured's interests
  2. Follow only the instructions of the insurer irrespective of professional standards
  3. Maintain independence, confidentiality, and integrity while discharging professional duties Correct answer.
  4. Publish claim details for public transparency

Explanation

The Code of Conduct requires independence, confidentiality, integrity, and professional objectivity. The surveyor is neither an advocate for the insured nor a mere agent of the insurer, and claim details are confidential.

Question 11Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor discovers during a loss assessment that the insured may have misrepresented material facts. What is the appropriate professional response under the 2015 Regulations?

  1. Report the finding factually in the survey report for the insurer's consideration Correct answer.
  2. Refer the matter to the insured's broker for resolution
  3. Conceal the finding to protect the insured's claim
  4. Directly repudiate the claim on the insurer's behalf

Explanation

The surveyor's duty is to report findings factually and objectively; the insurer decides on repudiation. Concealment breaches integrity, and repudiation is not the surveyor's function.

Question 12Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, a surveyor's licence is typically valid for a specified period and must be renewed. What is the consequence of failing to renew before expiry?

  1. The surveyor may continue to act for a grace period of one year
  2. The licence converts into a trainee licence
  3. The licence lapses and the surveyor cannot act until it is renewed in accordance with the Regulations Correct answer.
  4. The licence continues automatically with a late fee

Explanation

A licence that is not renewed within the prescribed time lapses, and the person cannot act as a surveyor until renewal is granted. There is no automatic continuation or conversion to another category.

Question 13Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which statement correctly describes the relationship between the IRDAI (Insurance Surveyors and Loss Assessors) Regulations, 2015 and the Insurance Act, 1938?

  1. The Regulations are advisory guidelines with no legal force
  2. The Regulations apply only to life insurance surveyors
  3. The Regulations override the Insurance Act wherever they conflict
  4. The Regulations are subordinate legislation framed under the Insurance Act and must be read with it Correct answer.

Explanation

The 2015 Regulations are delegated legislation made under the Insurance Act, 1938 and operate within its framework. They cannot override the parent statute and apply across insurance business as specified.

Question 14Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor is appointed to assess a claim where the loss exceeds the insurer's stated threshold requiring an independent survey. Under the 2015 Regulations, what is the significance of the survey report in such a case?

  1. The report is binding on the insured but not on the insurer
  2. The report is required only for reinsurance recoveries
  3. The report is a mandatory input before the insurer settles the claim Correct answer.
  4. The report is optional and may be dispensed with if the insured objects

Explanation

Where a survey is mandated by the Regulations or by the insurer's threshold, the survey report is a necessary input for claim settlement. It informs the insurer's decision but does not bind either party as an award.

Question 15Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following is a ground on which IRDAI may cancel a surveyor's licence under the 2015 Regulations?

  1. The surveyor submits the report ahead of the prescribed deadline
  2. The surveyor charges fees lower than the market rate
  3. The surveyor declines an assignment due to a conflict of interest
  4. The surveyor is convicted of an offence involving fraud or has contravened the Regulations Correct answer.

Explanation

Cancellation may follow conviction for fraud or serious contravention of the Regulations. Declining a conflicted assignment is proper conduct, and neither low fees nor early submission is a ground for cancellation.

Question 16Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which document must a surveyor maintain to demonstrate compliance with the 2015 Regulations regarding professional records?

  1. The insurer's underwriting manual
  2. The insured's financial statements
  3. A register of all claims surveyed with prescribed particulars Correct answer.
  4. A copy of every policy issued by the insurer

Explanation

Surveyors are expected to maintain records of the claims they survey with prescribed particulars for accountability and inspection. Policy copies, underwriting manuals, and insured financials are not the surveyor's records.

Question 17Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, what is the role of the surveyor in relation to the 'salvage' of damaged property?

  1. The surveyor may ignore salvage if the loss is total
  2. The surveyor must retain the salvage until the claim is settled
  3. The surveyor assesses and reports the salvage value for deduction in the claim assessment Correct answer.
  4. The surveyor sells the salvage and remits the proceeds to the insured

Explanation

The surveyor identifies and values salvage so that its realisable value can be deducted in arriving at the net loss. The surveyor neither retains nor sells the salvage, and salvage matters even in total loss assessments.

Question 18Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor suspects that the cause of loss is arson but lacks conclusive evidence. How should the surveyor frame the report under the 2015 Regulations?

  1. Recommend immediate repudiation of the claim
  2. Omit the suspicion to avoid prejudicing the insured
  3. State arson as the established cause to speed up the claim
  4. Report the facts, the suspicion, and the need for further investigation without asserting an unproven conclusion Correct answer.

Explanation

Professional reporting requires distinguishing established facts from suspicion and recommending further investigation where needed. Asserting an unproven cause or omitting a material suspicion both breach objectivity.

Question 19Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best explains why the 2015 Regulations require a surveyor to be independent of the insurer's commercial interests?

  1. To ensure the surveyor can be paid higher fees
  2. To enable the surveyor to represent the insured in litigation
  3. To preserve the objectivity and credibility of the loss assessment relied upon by the insurer and the insured Correct answer.
  4. To allow the surveyor to set policy terms

Explanation

Independence safeguards the objectivity of the assessment, which both the insurer and the insured rely on. It is not about fees, policy-setting, or litigation representation.

Question 20Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, a surveyor's licence may be suspended pending enquiry. What is the effect of suspension on the surveyor's professional activity?

  1. The surveyor may continue all assignments already accepted
  2. The surveyor may act only for the insurer that appointed them previously
  3. The surveyor may act if the insured consents
  4. The surveyor cannot act as a surveyor during the suspension period Correct answer.

Explanation

Suspension removes the authority to act as a surveyor for its duration, regardless of prior appointments or consent. Acting during suspension would be unauthorised practice.

Question 21Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor is appointed to assess a motor claim and finds that the repair estimate includes items unrelated to the accident. What is the appropriate treatment under the 2015 Regulations?

  1. Reduce the estimate by a fixed percentage
  2. Disallow unrelated items and assess only the damage attributable to the insured peril Correct answer.
  3. Refer the entire estimate to the insurer without comment
  4. Allow the full estimate to avoid dispute with the insured

Explanation

The surveyor must assess only damage proximately caused by the insured peril and exclude unrelated items. Allowing unrelated items or applying an arbitrary reduction would misstate the loss.

Question 22Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which statement about the examination requirement for surveyor licensing under the 2015 Regulations is accurate?

  1. The examination is optional if the candidate holds an engineering degree
  2. The examination is conducted by the insurer appointing the surveyor
  3. The examination is prescribed by IRDAI and conducted through the designated institution Correct answer.
  4. The examination is waived for candidates with ten years of experience

Explanation

IRDAI prescribes the licensing examination, which is administered through the designated institution. It is not insurer-run, not optional for degree holders, and not automatically waived for experience.

Question 23Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor is asked to provide a 'certificate of loss' to support a claim, but the surveyor has not personally inspected the site. Under the 2015 Regulations, what is the correct position?

  1. The surveyor may certify based on the insured's photographs
  2. The surveyor may certify if a colleague confirms the loss
  3. The surveyor may certify with a disclaimer
  4. The surveyor must not certify a loss not personally assessed and must conduct the inspection Correct answer.

Explanation

Certification must rest on the surveyor's own professional assessment; certifying without inspection undermines the integrity of the report. Photographs, colleague confirmation, or disclaimers do not substitute for inspection.

Question 24Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following correctly describes the surveyor's duty regarding the time limit for submitting a survey report?

  1. The report must be submitted within the period prescribed by the Regulations or the insurer's instructions consistent with them Correct answer.
  2. The report may be submitted at any time before the policy expires
  3. The report must be submitted only after the insured accepts the assessment
  4. The report may be delayed indefinitely if the loss is complex

Explanation

The Regulations and consistent insurer instructions set the reporting timeline so that claims are settled promptly. Indefinite delay or waiting for the insured's acceptance is not permitted.

Question 25Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor company's licence is under consideration. Which factor is most relevant to IRDAI's assessment of 'fit and proper' status?

  1. The number of branch offices in metro cities
  2. The integrity, competence, and financial soundness of the entity and its principals Correct answer.
  3. The company's advertising budget
  4. The volume of claims surveyed in the previous year

Explanation

Fit-and-proper assessment focuses on integrity, competence, and financial soundness of the entity and its principals. Advertising spend, branch count, and past volume are not determinants of fitness.

Question 26Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the IRDAI (Insurance Surveyors and Loss Assessors) Regulations, 2015, a surveyor licence is granted for a specified category. Which category of licence entitles the holder to survey and assess losses of all classes of general insurance business, including those requiring the highest level of technical competence?

  1. Category D
  2. Category C
  3. Category B
  4. Category A Correct answer.

Explanation

The 2015 Regulations classify surveyor licences into categories based on the classes of business a surveyor may handle. Category A is the broadest, covering all classes of general insurance, while lower categories are restricted to specified classes such as motor or fire. A candidate must know that the highest category is A, not D.

Question 27Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A licensed surveyor wishes to add a new class of general insurance business to the scope of work they may survey. Under the 2015 Regulations, which action is required before the surveyor can lawfully assess losses in that additional class?

  1. Obtain a no-objection certificate from any insurer that has previously appointed the surveyor
  2. Apply to IRDAI for an endorsement or upgrade of the licence to cover the additional class Correct answer.
  3. Complete a self-declaration and begin surveying the new class immediately
  4. Register with the local insurance council and inform IRDAI after six months

Explanation

The scope of a surveyor's licence is defined by the category and classes specified in the licence. A surveyor cannot expand that scope unilaterally; an application must be made to IRDAI for the appropriate endorsement or upgrade. Insurer consent or retrospective intimation does not substitute for the regulator's approval.

Question 28Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which statement best describes the eligibility requirement relating to practical experience for an individual applying for a surveyor licence under the 2015 Regulations?

  1. The applicant must possess the prescribed practical experience in loss assessment or a related technical field, as specified for the category applied for Correct answer.
  2. Practical experience is required only for company applicants, not for individuals
  3. Experience of at least ten years in any insurance role is mandatory for every category
  4. Any graduate may apply without practical experience, provided the examination is cleared

Explanation

The 2015 Regulations prescribe eligibility conditions that combine educational qualification, practical experience and examination requirements, varying with the licence category. Practical experience in loss assessment or a related technical discipline is a core eligibility criterion for individuals. A blanket ten-year rule or an experience-free route misstates the framework.

Question 29Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed under the 2015 Regulations is appointed by an insurer to assess a loss. Which of the following best describes the surveyor's primary professional obligation in that engagement?

  1. To independently and impartially assess the loss and report the facts and quantum to the insurer Correct answer.
  2. To protect the insurer's commercial interest by minimising the claim payout
  3. To decide whether the claim should be paid or repudiated on behalf of the insurer
  4. To represent the insured's interests in negotiating a higher settlement

Explanation

The surveyor's role is to conduct an independent, impartial assessment of the loss and report the facts, cause and quantum to the insurer. The surveyor is not an advocate for either party and does not exercise the insurer's decision-making power. Impartiality is central to the credibility of the loss assessment process.

Question 30Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, a surveyor is required to maintain records of surveys conducted. Which of the following best describes the purpose of this record-keeping obligation?

  1. To transfer ownership of the survey reports to the insured
  2. To allow IRDAI and the insurer to verify the surveyor's work and compliance when required Correct answer.
  3. To enable the surveyor to advertise a larger portfolio to prospective insurers
  4. To replace the need for submitting a formal survey report in each claim

Explanation

Professional records are maintained so that the regulator and the appointing insurer can verify the surveyor's work, traceability and compliance with the regulations. Record-keeping supports supervision and audit; it does not replace the survey report or transfer rights to the insured. It is a compliance tool, not a marketing device.

Question 31Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed under the 2015 Regulations is approached by an insurer to survey a claim in which the surveyor has a direct financial interest in the insured entity. What is the most appropriate course of action?

  1. Accept the assignment and disclose the interest only in the final report
  2. Accept the assignment and delegate the entire assessment to an unlicensed assistant
  3. Decline the assignment because the conflict of interest compromises independence Correct answer.
  4. Accept the assignment if the insurer agrees to pay a higher fee

Explanation

Independence is a fundamental requirement, and a direct financial interest in the insured creates a conflict that undermines the credibility of the assessment. The surveyor should decline the assignment rather than manage the conflict through disclosure after the fact. Fee arrangements or delegation do not cure a disqualifying conflict.

Question 32Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best describes the continuing professional development expectation for a licensed surveyor under the regulatory framework for surveyors?

  1. A surveyor may stop updating technical knowledge once the licence is granted
  2. A surveyor must keep professional knowledge and skills current to remain competent for the classes licensed Correct answer.
  3. Continuing education is required only for company surveyors, not individuals
  4. Professional development is optional and has no bearing on licence renewal

Explanation

The regulatory framework expects surveyors to maintain and update their professional competence throughout the licence period. Continuing professional development supports the quality and reliability of loss assessments across the licensed classes. It is not a one-time requirement satisfied at licensing.

Question 33Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Under the 2015 Regulations, which of the following is a core duty of a surveyor when assessing a loss?

  1. To approve the insurer's reinsurance arrangements for the claim
  2. To issue the policy document to the insured after the loss
  3. To determine the premium rate applicable to the insured's policy
  4. To assess the cause, nature and extent of the loss and report the quantum Correct answer.

Explanation

The surveyor's core function is to investigate the loss, determine its cause and extent, and quantify the loss for the insurer. Premium rating, policy issuance and reinsurance are functions of the insurer, not the surveyor. Keeping these roles distinct is essential to the surveyor's limited statutory function.

Question 34Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed for motor claims is appointed to assess a marine hull loss. Under the 2015 Regulations, what is the correct position?

  1. The surveyor may assess the loss provided the report is countersigned by any colleague
  2. The surveyor may assess the loss if the insurer agrees to indemnify the surveyor for any error
  3. The surveyor may assess the loss because all licensed surveyors are interchangeable
  4. The surveyor should not assess the loss because it falls outside the licensed category Correct answer.

Explanation

A licence is category-specific, and a surveyor may only assess losses within the classes authorised by that licence. Marine hull falls outside a motor-only licence, so accepting the engagement would be acting beyond the licence. Insurer consent or countersignature cannot expand the statutory scope.

Question 35Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

An insurer appoints a surveyor to assess a large fire loss. The surveyor completes the inspection but finds that key documents are missing. Under the 2015 Regulations, what is the appropriate professional response?

  1. Submit a report based on assumptions and note the missing documents only verbally
  2. Estimate the loss at the policy sum insured to avoid delay
  3. Request the missing documents, record the deficiency and report the assessment with appropriate qualifications Correct answer.
  4. Refuse to submit any report until the insurer pays an additional fee

Explanation

A surveyor must base the report on adequate evidence and should seek missing documents before finalising the assessment. Where documents remain unavailable, the report should record the deficiency and qualify the findings accordingly. Assumptions presented as facts or arbitrary estimates undermine the report's reliability.

Question 36Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best explains the requirement that a surveyor's report be submitted within a reasonable time after the survey?

  1. Timely reporting supports prompt claim settlement and preserves the evidential value of the assessment Correct answer.
  2. Timely reporting is required only when the insured files a complaint
  3. Timely reporting transfers the claim decision to the surveyor
  4. Timely reporting allows the surveyor to charge a higher fee for urgency

Explanation

Prompt submission of the survey report enables the insurer to settle claims without undue delay and preserves the accuracy of the evidence. Delay can prejudice the insured and weaken the value of the assessment. The timing obligation is tied to policyholder protection and evidentiary integrity, not to fee or decision-making power.

Question 37Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A company applying for a surveyor licence under the 2015 Regulations intends to use the licence to conduct surveys through its employees. Which statement best reflects the regulatory approach to such an entity?

  1. The company need not comply with the individual qualification requirements at all
  2. The company licence automatically licenses every employee as an individual surveyor
  3. The company must satisfy the prescribed eligibility and fit-and-proper criteria, and its survey work must be conducted by qualified personnel Correct answer.
  4. The company may conduct surveys through unqualified staff as long as a director is licensed

Explanation

A company licence is subject to prescribed eligibility, fit-and-proper and personnel qualification requirements. The entity's survey work must be carried out by qualified persons, and the corporate licence does not automatically confer individual licences on employees. Compliance with qualification norms is not dispensed with for companies.

Question 38Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

During a loss assessment, a surveyor notices that the insured has submitted an invoice that appears altered. What is the most appropriate professional response under the regulatory framework?

  1. Ignore the discrepancy because the insurer bears the risk of fraud
  2. Destroy the invoice to avoid complicating the claim file
  3. Confront the insured and negotiate a reduced claim on the spot
  4. Report the suspected alteration to the insurer and record the observation in the survey report Correct answer.

Explanation

A surveyor has a duty to report material facts and suspicions affecting the claim to the insurer and to document them in the report. Suspected document alteration is a material observation that the insurer must evaluate. Confrontation, destruction of evidence or silence would compromise the integrity of the assessment.

Question 39Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best describes the relationship between the surveyor's licence and the surveyor's ability to sign and issue a survey report?

  1. An unlicensed technical expert may sign the report if a licensed surveyor reviews it later
  2. Any employee of a licensed surveyor company may sign a survey report without individual authorisation
  3. Only a licensed surveyor, acting within the licensed category, may sign and issue a survey report Correct answer.
  4. A retired surveyor whose licence has lapsed may continue signing reports as a matter of practice

Explanation

The authority to sign and issue a survey report flows from a valid licence and is confined to the licensed category. Unlicensed persons and lapsed licensees cannot issue reports in their own right. Later review by a licensed surveyor does not validate a report signed by an unauthorised person.

Question 40Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor is appointed to assess a claim and finds that the loss is below the insurer's threshold for mandatory independent survey but the insurer still wants a survey. What is the surveyor's position under the regulatory framework?

  1. The surveyor must refer the matter to IRDAI for prior approval before accepting
  2. The surveyor may accept only if the insured pays the survey fee
  3. The surveyor must refuse because surveys below the threshold are prohibited
  4. The surveyor may accept the appointment and conduct the assessment within the licensed scope Correct answer.

Explanation

Thresholds determine when an independent survey is mandatory; they do not prohibit an insurer from voluntarily appointing a surveyor for a smaller loss. A licensed surveyor may accept such an engagement within the licensed category. No regulatory prohibition or prior approval applies merely because the loss is below the threshold.

Question 41Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best describes the surveyor's obligation when the cause of loss is uncertain after a reasonable investigation?

  1. State a definite cause to make the report look complete
  2. Adopt the insured's explanation without independent verification
  3. Omit the cause section from the report entirely
  4. Report the uncertainty, set out the possible causes examined and the evidence available Correct answer.

Explanation

Professional reporting requires the surveyor to be transparent about the limits of the investigation. Where the cause remains uncertain, the report should explain the possibilities examined and the evidence supporting each. Inventing certainty, omitting the issue or adopting the insured's version uncritically would mislead the insurer.

Question 42Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed under the 2015 Regulations is asked to assess a claim where the insurer and the insured disagree on the quantum. What is the surveyor's proper role in this situation?

  1. Act as the insured's advocate to balance the insurer's bargaining power
  2. Independently verify the loss and provide a reasoned quantum assessment to the insurer Correct answer.
  3. Decide the dispute in favour of the party that provides the most documentation
  4. Decline the appointment because disputes are outside the surveyor's remit

Explanation

The surveyor's function is to independently investigate and quantify the loss, not to advocate for either party. A reasoned quantum assessment assists the insurer in resolving the disagreement on an informed basis. The surveyor does not adjudicate the dispute or weigh documentation by volume.

Question 43Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which statement correctly describes the effect of a surveyor's licence being cancelled by IRDAI under the 2015 Regulations?

  1. The surveyor ceases to be authorised to act as a surveyor and cannot sign new or pending reports Correct answer.
  2. The surveyor may continue to practise until the cancellation is published in a newspaper
  3. The cancellation applies only to new appointments, leaving all existing engagements unaffected
  4. The surveyor may continue to complete surveys already in progress and sign those reports

Explanation

Cancellation removes the surveyor's authority to act in that capacity, including signing reports. Pending engagements cannot be completed under the cancelled licence. The effective date is governed by the regulator's order, not by any subsequent publication formality.

Question 44Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor is offered an assignment by an insurer in which the surveyor's close relative is a senior officer responsible for claims. What is the most appropriate action under the regulatory framework?

  1. Accept the assignment only if the relative is transferred to another department
  2. Accept the assignment and rely on the relative to expedite the report
  3. Disclose the relationship to the insurer and decline the assignment to preserve independence Correct answer.
  4. Accept the assignment because the relationship is personal and not commercial

Explanation

A close relative in a claims decision-making role creates a clear conflict that compromises the appearance and reality of independence. The proper course is to disclose the relationship and decline the engagement. Relying on the relationship or a later transfer does not adequately address the conflict at the time of appointment.

Question 45Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best describes the surveyor's duty in relation to salvage when assessing a loss?

  1. The surveyor should dispose of salvage and retain the proceeds as additional fee
  2. The surveyor should ignore salvage because it is outside the scope of loss assessment
  3. The surveyor should identify and value salvage and report it so that the insurer can account for it in settlement Correct answer.
  4. The surveyor should transfer salvage to the insured free of charge without reporting it

Explanation

Salvage affects the net loss and must be identified, valued and reported so that the insurer can account for it in the settlement. The surveyor does not appropriate salvage proceeds or dispose of it for personal benefit. Ignoring or concealing salvage would misstate the loss.

Question 46Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor is asked to assess a claim where the insured has not cooperated with document requests. Under the 2015 Regulations, what is the appropriate approach for the surveyor?

  1. Record the non-cooperation, assess the loss on available evidence and report the limitation clearly Correct answer.
  2. Close the file without informing the insurer
  3. Estimate the loss at the maximum possible amount to protect the insured
  4. Reject the claim outright because non-cooperation is conclusive proof of fraud

Explanation

Non-cooperation is a material fact to be recorded and reported, but it is not itself conclusive proof of fraud. The surveyor should assess what can be assessed on available evidence and clearly state the limitations in the report. The insurer then decides how to treat the claim in light of the reported facts.

Question 47Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best describes the regulatory expectation regarding a surveyor's fees under the framework for surveyors?

  1. Fees may be contingent on the claim being admitted in full
  2. Fees should be reasonable and disclosed, and must not create an incentive that compromises independence Correct answer.
  3. Fees are unregulated and may be set at any level without disclosure
  4. Fees must always be a fixed percentage of the claim amount

Explanation

Fee arrangements must preserve the surveyor's independence and be transparent to the appointing insurer. Contingency fees linked to claim outcomes create a direct conflict of interest and are inconsistent with impartial assessment. There is no universal fixed-percentage rule for survey fees.

Question 48Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor licensed for a limited category is offered a complex engineering loss that requires expertise beyond the surveyor's licensed class. The insurer is willing to appoint the surveyor anyway. What is the correct professional response?

  1. Accept and subcontract the entire assessment to an unlicensed engineer
  2. Accept and rely on the insurer's willingness to appoint as sufficient authority
  3. Decline the engagement and advise the insurer to appoint a surveyor licensed for that class Correct answer.
  4. Accept and issue a report without disclosing the category limitation

Explanation

A licence category defines the classes a surveyor may assess, and the insurer's willingness to appoint cannot override that limit. The surveyor should decline and direct the insurer to a suitably licensed surveyor. Subcontracting to an unlicensed person or concealing the limitation would breach the regulatory framework.

Question 49Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

Which of the following best explains why the regulatory framework requires surveyors to maintain independence from insurers and insureds?

  1. Independence ensures that loss assessments are objective and reliable for claim decisions Correct answer.
  2. Independence allows surveyors to charge higher fees from both parties
  3. Independence transfers the claim decision to the surveyor
  4. Independence is required only for claims above a certain value

Explanation

The value of a survey report depends on its objectivity, which in turn depends on the surveyor's independence from the parties. Reliable assessments support fair and accurate claim decisions. Independence is not a fee strategy, does not transfer decision-making power, and is not value-dependent.

Question 50Insurance Surveyors and Loss Assessors Regulations, 2015 and regulatory framework for surveyors

A surveyor discovers that an insurer has asked for the report to be altered to reduce the assessed loss without any supporting evidence. Under the regulatory framework, what is the most appropriate response?

  1. Alter the report but keep a private note of the original figure
  2. Refuse to alter the report without evidence and report the matter through appropriate channels Correct answer.
  3. Withdraw the report entirely and refuse to communicate with the insurer
  4. Comply with the insurer's request because the insurer is the appointing client

Explanation

A surveyor must not falsify or manipulate an assessment to suit an appointing insurer. The proper response is to refuse unsupported alterations and to escalate the matter through appropriate regulatory or professional channels. Private notes or complete withdrawal do not address the integrity issue.